Re:Facebook reveals its cryptocurrency Libra
by mattferderer on Tuesday June 18, 2019 @03:28PM
(#20217345)
What I haven't heard is how they plan to help US Citizens properly report taxes on any gain or loss when spending Libra.
Either the IRS will need to look the other way or this will become a huge hurdle for mass adoption in the US.
My hope is this helps get the IRS moving faster at making some laws based around using cryptocurrency to buy & sell goods. I do get that this isn't an easy decision to make. At some point someone will have to make it though. You cannot expect people to use a different currency on a daily basis & report any gain or loss on the currency at the time of transaction. It would also be an accounting nightmare to decide which coins you spent at the time of purchase.
My guess is they're waiting for cryptocurrency to become popular enough that it forces their hand & they have to create some type of leniency regarding gains & losses on each transaction.
Either the IRS will need to look the other way or this will become a huge hurdle for mass adoption in the US.
My hope is this helps get the IRS moving faster at making some laws based around using cryptocurrency to buy & sell goods. I do get that this isn't an easy decision to make. At some point someone will have to make it though. You cannot expect people to use a different currency on a daily basis & report any gain or loss on the currency at the time of transaction. It would also be an accounting nightmare to decide which coins you spent at the time of purchase.
My guess is they're waiting for cryptocurrency to become popular enough that it forces their hand & they have to create some type of leniency regarding gains & losses on each transaction.